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RTEC10 is an index made up of 10 public companies which have revenue that is derived primarily from sales in the embedded sector. The companies are made up of both software and hardware companies being traded on public exchanges.

COMPANY PRICECHANGE
Kontron
7.81
4.577%
Adlink
1.54
2.388%
Advantech
2.32
1.505%
Interphase
1.61
-3.012%
Radisys
9.26
-1.016%
-   Performance Technologies2.100.000%
-   Enea5.630.000%
PLX
3.62
-3.209%
Mercury Computer
11.76
-2.931%
Elma
412.98
-0.476%
HIGH LOW MKT CAP
7.85
7.43
435.04
1.58
1.52
185.11
2.33
2.30
1,198.70
1.70
1.61
11.00
9.41
9.24
223.74
2.102.1023.34
5.635.54101.86
3.74
3.61
134.28
12.17
11.76
279.57
412.98
412.98
94.25
RTEC10 Index: 490.94 (1.11%)
RTEC10 is sponsored by VDC research

EXECUTIVE INTERVIEW

RTC Interviews Saeed Karamooz, CEO of VadaTech

“I see ATCA and MicroTCA growing rapidly in the coming year and probably to the detriment of competing technology.”

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RTC: VadaTech certainly appears to be a dynamically growing company, opening a new manufacturing facility in
Nevada and a new sales office in Alabama. With a fairly focused product line, you also offer to do custom work for customers. Can you give us an idea of how much custom work versus standard activity you do? Also, at what point might a custom or semi-custom design be incorporated as part of your standard product offering?

Karamooz: Since the inception of our company in August 2004, we currently have over 60 products in production. VadaTech is primarily focused on making standard products and we work closely with our customers to stay within the standard industry form-factors. From our 60+ products to date we have about 14 products that are non-standard. Six out of 14 of these non-standard products are shelf mangers for the ATCA. Since the ATCA specification does not address the form factor for the shelf manger, each chassis vendor has improvised a
different form-factor, which makes it difficult to avoid custom form-factors.

RTC: Again, judging from VadaTech’s product offerings, you appear to be very committed to the development of the market for ATCA and AMC-based systems. We keep hearing that ATCA is about to take off strongly, but the start date for that seems to be repeatedly pushed back a bit. What is your sense of when and or how the market’s acceptance of ATCA will really result in sustained volume growth in sales?

Karamooz: We are seeing a tremendous interest in ATCA and AMC-based systems in different market segments from Telecom, for which the ATCA was originally targeted, to the military and automation, which basically is interested in the MicroTCA. A number of the large opportunities we are involved with will go into volume production in 2007 and 2008. I envision we will see the popularity of ATCA and
MicroTCA explode when all the pieces of the puzzle are matured.

RTC: ATCA is a standard that offers many options and configuration possibilities. The macro view of this is whether or not to build a system by integrating a large number of functions (CPU, disk drive, memory, communications processor, Gigabit Ethernet, etc.) onto a single board or to use the ATCA board as a carrier to be configured by adding a mix of AMC boards to define its ultimate functionality. Do you see cases (such as hitting a certain volume of production vs. more specialized system designs) where both of these approaches can be justified or do you think one or the other will mostly prevail?
Karamooz: A certain amount of basic functionality is typically required on any CPU blade. Even a full-featured blade may not address all system requirements in every case. AMC modules will always be used to provide functionality where needed. There will be a market for both approaches depending on the systems requirements. Combining functionality typically lowers cost and is more appealing to the customers with high volume. AMC modules provide flexibility where the development of a custom board is not warranted, and it allows customers to meet their requirements from different vendors and not be locked into a single source.

RTC: Having asked the above question, we note that VadaTech’s commitment to ATCA/AMC includes a variety of ATCA carrier boards that are designed not only to include AMC mezzanines, but also to allow the integration of other legacy form-factors such as CompactPCI and VME into an ATCA system. Can you share with us your philosophy—both from a technical and marketing standpoint—on this approach?

Karamooz: With ATCA/MicroTCA, as with any new technology, it takes time for board vendors to transition their product offerings. In some cases this transition may never happen, especially for modules customers developed in-house. We introduced our line of carrier products to bridge the gap between ATCA and legacy VME, CPCI, PCIe, PCI-x and PMC technology. With the different carrier modules for ATCA, the transition to ATCA could happen sooner then later for customers adapting this technology.
For example, one of our customers that elected to use ATCA for their system architecture needed a dual high-performance graphic module. They used our ATC105 Carrier, which allows up to two PCIe modules. They used standard graphic products from NVIDIA to be integrated on the ATC105 Carrier. The power budget for each graphic module was 70W for a total of 140W for two on the carrier. Using off-the-shelf PCIe graphics boards was a very cost-effective solution. We have fielded a number of systems using the carrier approach and the customers are very satisfied. Further, as an added feature all of our carrier boards can also be a shelf manager, effectively reducing the cost of the ATCA system.

RTC: Originally conceived as a mezzanine form-factor in the context of ATCA, AMC has now blossomed out on its own with the development of the MicroTCA specification, which lets developers build entire systems with full shelf management based on the AMC form-factor. How do you assess the growth potential for
MicroTCA, and in what areas do you see it moving beyond communications and networking?

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